Solar panels may be cheaper than you think

26th Apr 2012

One of the main barriers to people installing solar panels on their homes is cost - but have you ever considered that they might be more affordable than you think?

There are various things that will impact how much you pay for a solar power system, including the size of the panels, how much is charged by the installer and whether you take advantage of a government rebate.

However, it seems that many consumers aren't aware of some or all of these variables, as a recent poll shows there are misconceptions over the price of solar panels.

Carried out by Sunrun, which claims to be the largest home solar company in the US, the survey discovered that 97 per cent of people believe panels cost more than they do.

Not only this, but almost eight out of ten would consider installing them if cost was not a factor, with 44 per cent of these installations likely to take place in the next 12 months.

So the question is - what can we do to address these miscalculations?

Manisha Thakor, portfolio-manager-turned-bestselling-author and financial literacy advocate, suggested that education is the answer.

She continued: "Solar power service has become something any homeowner should now consider as part of a modern investment portfolio, if it's available to them.

"Among other benefits, it offers homeowners the unprecedented ability to plan and predict one of their largest household expenses for years to come: energy."

We could even find that solar power becomes more affordable in the long run anyway - research from global management consultancy McKinsey recently predicted prices will soon be on a downward slope.

As manufacturing capacity increases, costs are expected to fall considerably, which can only be of benefit to those of us without solar panels.